MGM Grand not honoring discount rates

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Sorry if this has been posted elsewhere, but here's a general summary of what happened:

http://thestrippodcast.blogspot.com/search?q=mgmgrand.com

Somehow, one of MGM's discount promotion codes got passed around the internet which offered rooms in Vegas at $69/night (including weekends) on almost any night this summer. Naturally, when people put the code into the online reservation system and it worked, others rushed to do the same thing. Some people even called the MGM reservation number to confirm, and the operators checked the code in their system and told them yes, you can stay here for that rate. Who wouldn't want to stay at MGM for $69/night when their normal rates are much higher?

Problem is, that code wasn't intended for everyone, according to MGM reps. Somehow they discovered their "mistake" and are calling people back telling them their reservations are cancelled and they are going to have to pay the full rate if they want to stay there. One of my buddies from NYC got an e-mail from them and forwarded it to me:

Dear Valued Guest:

It has come to our attention that you booked a reservation on the MGM Grand website using promotion code SDM060. Please be advised that this is an invalid promotion code, which you did not receive from MGM Grand Hotel. As a result, we are not able to honor your reservation. Please be advised that your reservation has been cancelled and any deposits have been refunded to your credit card. We sincerely apologize for any inconvenience this may have caused you.

We certainly welcome your business and invite you to book your reservation through our website mgmgrand.com or by contacting our room reservations department at (800) 929-1111. If you are a current MGM Mirage Players Club Card member, please contact our VIP services department to book your reservation at (800) 929-9410.

Once again, thank you for your interest in MGM Grand. We hope to welcome you in the future.

Sincerely,

MGM Grand Reservations Department

Who's right here?

I think MGM should just honor the reservations which were already made since the people who used the code did nothing wrong, even if it wasn't intended for them (and the code obviously wasn't "invalid" because it worked). Hell, $69/night is basically the casino room rate and they could probably use the business with tourism at such a low nowadays. A lot of people who booked rooms are livid about this though, because after they confirmed with MGM, they went and bought non-refundable plane tickets to Vegas.
 
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I thinkyou are Right, they should honor it.

It's one thing if the Code didn't work for others, but it went through and people do set-up Airline reservations after they have Booked a Hotel.

I know now with Fuel prices, Airlines are now charging $100 to Cancel Flights. The Norm use to be $25.

It sounds like this will have a " Snowball " affect.
 

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I'm sure legally they can do it, but it's bad business not to honor it. They should have a better control on their bookings if it's only intended for some.
 

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MGM should honor the rate as the code worked for people that entered it. MGM screwed up by having this code work for everyone plus it's good business practice. Chances are they would get thier money back from these people losing money gambling at their casino and eating out at the MGM.
 

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Book the room, honor the price
 

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Talked to my buddy again, who got off the phone with one of their reps to bitch about the situation. He said the person on the other end of the phone said MGM isn't liable because of "external hacking." What total crap...I can't imagine anyone being able to hack into MGM's internal reservation system for one, but why would they do it just so they could create some kind of fake offer (which actually works) and then leave? If that was what really happened (and I give that about a .00001% chance of being true given the difficulty of the task)...then their cyber security really sucks.

MGM probably can't be held accountable legally, but as someone pointed out, this is really terrible for their PR. I can't believe they're that hard up for the extra few grand in revenue, especially when they'd probably get it back at the tables anyway. This is the equivalent of you going to buy a car, signing the paperwork for $20k, then having the dealer chase you as you drive off the lot saying "Wait! Actually the price was $40k...so either sign new paperwork or give us the car back"...
 

Self appointed RX World Champion Handicapper
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something tells me MGM will be alright when this is over....
 

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Ive stayed at MGM several times for 69$.

I had a similar problem with CITI mastercard, they offered 0% interest for 1 year on balance transfer with NO transfer fee, yet they charged me a transfer fee.

When I called to complain the rep told me that I wasnt supposed to use that offer at all. It wasnt intended for the "general public" these companies need to put in safeguards to ensure this doesnt happen, how can u blame the public?
 

Rx. Senior
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Was down on the Strip today. MGM ought to be grateful for any customers they can get.
The CityCenter is ridiculous and will put their stock in bankruptcy.
 

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With many hotels to chose from, why would anyone want to stay in a budget MGM room?

That City Center thing might never get built at the rate their workers kick the bucket.
 

The Great Govenor of California
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there employees suck, worst personel in Vegas sports book history.
 

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One of the dumbest things the MGM could possibly do...

Ive been getting free offers from hotels I have not been to in 5+ years and had not heard from in at least 3. Clearly Vegas is empty and at $69/room, they are not losing money on the damn thing
 

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